sTAFFING MANAGEmENT

INSTRUCTOR NOTES AND ACTiViTiES

Recruitment and Selection: Hiring the Right Person

By Myrna L. Gusdorf, MBA, SPHR

PROJECT TEAM Author: SHRM project contributors: External contributor: Copy editing: Design: Myrna L. Gusdorf, MBA, SPHR Bill Schaefer, SPHR Nancy A. Woolever, SPHR Sharon H. Leonard Katya Scanlan, copy editor Terry Biddle, graphic designer

2009 Society for Human Resource Management. Myrna L. Gusdorf, MBA, SPHR Note to HR faculty and instructors: SHRM cases and modules are intended for use in HR classrooms at universities. Teaching notes are included with each. While our current intent is to make the materials available without charge, we reserve the right to impose charges should we deem it necessary to support the program. However, currently, these resources are available free of charge to all. Please duplicate only the number of copies needed, one for each student in the class. For more information, please contact: SHRM Academic Initiatives 1800 Duke Street, Alexandria, VA 22314, USA Phone: (800) 283-7476 Fax: (703) 535-6432 Web: www.shrm.org/education/hreducation
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Recruitment and Selection: Hiring the Right Person

MODULE SUMMARY This module covers employee hiring and selection. It addresses recruitment and selection from the perspective of an organization, particularly the human resource department. It also includes information necessary for non-HR team members who may participate in the selection process. The module is designed to be comprehensive and includes the necessary text. At the instructors discretion, it could be used as a stand-alone curriculum or as a teaching plan and supplemental reading in combination with a college-level introduction to human resource management text. AUDIEnCE Undergraduate, introductory class. LEnGTh Two 50-minute class periods. LEARnInG OUTCOMEs At the completion of the module, the student will: 1. Understand the process necessary to recruit and select new employees. 2. Understand the role of HR managers and non-HR team members who may participate in the recruitment and selection process. 3. Demonstrate learning through a variety of in-class activities and outside class assignments. LEARnInG MODULE OUTLInE Class 1: Recruitment I. Recruitment issues: a. Alternatives to recruitment. b. Recruitment and selection costs.

2009 Society for Human Resource Management. Myrna L. Gusdorf, MBA, SPHR 1

II.

Internal environment: a. Promotion from within: i. Advantages. ii. Disadvantages. b. Nepotism. External environment: a. Labor market. b. Legal issues and discrimination. Internal recruitment: a. Job posting. b. Referrals. c. Promotion policies. External recruiting: a. Sources of candidates. b. Recruiting methods. Internet recruiting: a. Advantages. b. Disadvantages. Recruiting for diversity.

III.

IV.

V.

VI.

VII.

Class 2: Selection I. The application: a. The application form. b. Items to avoid. c. Review of applications. II. III. Screening interview. Selection testing: a. Selection test design/applicable tests. b. Standardization. c. Reliability. d. Validity. Employment interview: a. Structured, unstructured, behavioral. b. Preparing for the interview. c. Group or individual interview. d. Concluding the interview. e. Interview problems.

IV.

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V.

Pre-employment screening: a. Background check. b. Reference check. Legal liability: a. Defamation. b. Negligent referral. c. Negligent hiring. Selection decision: a. Job offer. b. Medical exam and drug testing. c. Realistic job preview. d. Employment verication/I-9 form. e. Notication of candidates.

VI.

VII.

VIII. Evaluating the recruitment/selection process: a. Budget. b. Time. c. Selection and acceptance rates. d. Retention.

TEXT Text is provided with the module material, allowing the module to be used as a stand-alone curriculum. At the instructors discretion, the text could be supplemented with the suggested readings or used in conjunction with an introductory human resource textbook. The text is written in an informal style designed to relate to the intended audience of undergraduate introductory HR students and non-HR majors. It is suggested that the text be made available to students either as a handout or posted on a class web site. The articles listed at the end of the text can be assigned to students for further reading or for research projects. POWERPOInT SLIDEs The PowerPoint slides follow the material in the text, and each slide includes instructors notes and comments. There are two HR Dilemma slides (slides 12 and 21) that present a short scenario to generate class discussion. It is suggested that the slides be made available as handouts to students with the deletion of the two HR Dilemma slides. The simplest way to make them available is to post the slides online for students to download. Students who have a copy of the slides in class during the lecture nd that it facilitates note-taking and serves as a useful review tool when class is over.

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CLAssROOM ACTIVITIEs AnD EXERCIsEs Activities provided in these notes may be used for in-class activity, homework or assessment material. Application for Employment: There is an employment application that can be copied and distributed to students for this activity. The application includes inappropriate and illegal entries. Students can work alone or in teams to try to nd all the incorrect material on the application. This usually generates much discussion, as many students will have real-world experience completing application forms that ask for inappropriate information. An answer key indicating in red the incorrect material is included. True or False Quiz: There is a 10-question true or false quiz for each module segmentone for recruitment and one for selection. The questions are not difcult and are based on the text. These quizzes could be used as assessment at the end of the class, but they may be more useful if used at the beginning of the session as a pretest to generate interest in the topic and to discuss students misperceptions regarding recruitment and selection. Design a Recruitment Plan: This is suggested as a homework or assessment activity. It is based on the ctitious XYZ Company, an organization that is growing and will be hiring additional employees. As HR department members, students are asked to design a recruitment and hiring plan for the organization. At the instructors discretion and as time allows, this could be assigned as a team or an individual project with a written or an oral presentation. Cost-of-Turnover Worksheet: This is a fairly lengthy document supplied by the U.S. Department of Labor. It can be found here if you log in with your SHRM member number. It is designed to help employers calculate all costs associated with recruiting and hiring. It is suggested that students research this site outside of class and then discuss the real costs associated with employee turnover. It is usually a real eye-opener for students who are generally not aware of the indirect costs of turnover, such as lost production, stress, etc. Quiz/Discussion Questions: There are four questions that could be used for assessment or as class discussion items at the discretion of the instructor.

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Recruitment and Selection Activities

QUIZ/DIsCUssIOn QUEsTIOns 1. Identify the advantages and disadvantages of conducting a team interview versus an interview by a single individual. 2. Why dont we quote the annual salary when offering a job? 3. When is it best to recruit internal candidates as opposed to external candidates? 4. How are closed interview questions different from open questions? DEsIGn A RECRUITMEnT PLAn Great news! Just as expected, XYZ Company is growing! Sales are at record high levels, and the CEO has approved hiring ve new production team members. Your job is to design a recruitment and hiring plan. Your plan should include: 1. A brief job description of the position (information obtained from the job analysis you have already completed). 2. The plan and activities for recruitment. Where will you nd the applicants? 3. Discussion of how you will sort the applicants to determine who and how many will get an interview. 4. A plan for the interview process. Who will interview? What is your interview format? Include some sample interview questions. 5. Selection. How will you make your selection decision? REsEARCh WEB SITEs Cost-of-Turnover Worksheet: Available on SHRMs web site. Department of Labor: www.dol.gov Equal Employment Opportunity Commission: www.eeoc.gov

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APPLiCATiON FOR EMPLOYMENT

We are an equal opportunity employer dedicated to a policy of non-discrimination in employment on any basis, including race, creed, color, age, sex, religion or national origin.

Date Social Security Number

Personal Information
Name Present Address Permanent Address Phone # Date of Birth Married Single Widowed Referred By Height Divorced Weight Separated Race Last First Middle

Employment Desired
Position Are you employed now? Date you can start Salary Desired

If so, may we inquire of your present employer? Where? When?

Ever applied to this company before?

Education
Name of School Grammar School High School College Trade School
*The Age Discrimination in Employment Act of 1967 prohibits discrimination on the basis of age with respect to individuals who are at least 40 but less than 65 years of age.

Years* Attended

Date* Graduated

Subjects Studied

General
Subjects of special study or research Do you have any physical disabilities? If yes, explain What foreign languages do you speak? Military Service? Rank? Read Write

Membership in National Guard?

Have you ever been arrested?

If so, for what reason?

6 2009 Society for Human Resource Management. Myrna L. Gusdorf, MBA, SPHR

Illegal information or inappropriate information is identied in red.

APPLiCATiON FOR EMPLOYMENT

We are an equal opportunity employer dedicated to a policy of non-discrimination in employment on any basis, including race, creed, color, age, sex, religion or national origin.

Date Social Security Number

Personal Information
Name Present Address Permanent Address Phone # Date of Birth Married Single Widowed Referred By Height Divorced Weight Separated Race Last First Middle

Employment Desired
Position Are you employed now? Date you can start Salary Desired

If so, may we inquire of your present employer? Where? When?

Ever applied to this company before?

Education
Name of School Grammar School High School College Trade School
*The Age Discrimination in Employment Act of 1967 prohibits discrimination on the basis of age with respect to individuals who are at least 40 but less than 65 years of age.

Years* Attended

Date* Graduated

Subjects Studied

General
Subjects of special study or research Do you have any physical disabilities? If yes, explain What foreign languages do you speak? Military Service? Rank? Read Write

Membership in National Guard?

Have you ever been arrested?

If so, for what reason?

2009 Society for Human Resource Management. Myrna L. Gusdorf, MBA, SPHR 7

Do You Know?
RECRUITMEnT: TRUE OR FALsE 1._ 2._ ____ It is estimated that replacing a full-time private-sector employee costs at least 25 percent of that employees total annual compensation. ____ When the economy in your area is down and there is signicant unemployment, you may have to offer increased compensation or benets incentives to attract quality applicants as you will be in stiff competition with other employers to attract qualied applicants. ____ The ADA requires accommodation by employers so that a disabled applicant has equal opportunity to apply for job openings, regardless of the nature of the accommodation. ____ You must be aware of all civil rights requirements regarding applicant recruiting because many states and local communities have passed legislation that extends discrimination protection beyond the scope of federal laws. ____ It would seem prudent to use employee referral programs sparingly because the EEOC warns that relying on word-of-mouth recruiting may be discriminatory. ____ Even though Internet recruiting may speed up the application process, it still requires trained HR staff to screen all applications and administer selection tests. ____ In spite of all the new innovations in recruitment, newspaper ads are still the one best method to generate a pool of qualied applicants. ____ Many organizations use promotion from within as a motivation tool and a reward for good work or longevity with the organization. ____ The most common method to nd qualied applicants from inside the organization is the grapevine.

3._

4._

5._

6._

7._ 8._ 9._

10._ ____ Generally, the more technically specic the job, the broader the geographic area of recruitment.

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Do You Know?
RECRUITMEnT: TRUE OR FALsE AnsWER KEY 1._ 2._ True. False. When the economy in your area is down and there is signicant unemployment, you may be overwhelmed with applicants and will not need to offer incentives. False. The ADA requires the employer to provide reasonable accommodation for a disabled applicant. Certainly, if the necessary accommodation creates a business hardship, it is not required of the employer. True. True. False. Online processes can screen applications and administer some selection tests, thereby signicantly reducing the amount of required HR time. False. There are as many different methods of recruiting as there are organizations, and there is no one method that is the best for recruiting job applicants. True. False. The most common method used to nd qualied applicants from inside the organization is job posting.

3._

4._ 5._ 6._ 7._

8._ 9._

10._ True.

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Do You Know?
SELECTIOn: TRUE OR FALsE 1._ ____ The most commonly found inappropriate questions on application forms include questions involving past salary levels, age, drivers license information and Social Security numbers. ____ The demographic information required for afrmative action should be included in the application form. ____ Selection tests are used to identify applicant skills that cannot be determined in an interview process. ____ It is recommended that candidates be interviewed before administering selection tests. ____ An interview is really a verbal test of the candidate, with no clear right or wrong answers. ____ Unstructured interviews require candidates to give real examples of past actions and results and are based on the theory that past behavior is a good predictor of future behavior. ____ As much as 40 percent of applicants lie about their work histories and educational backgrounds and about 20 percent present false credentials and licenses. ____ A past employer may be guilty of negligent referral when failing to warn about an employees known propensity to violence. ____ It is best to avoid quoting the annual salary when extending a job offer.

2._ 3._ 4._ 5._ 6._

7._

8._ 9._

10._ ____ Eligibility for employment must be veried for all new hires within seven days of starting work.

10 2009 Society for Human Resource Management. Myrna L. Gusdorf, MBA, SPHR

Do You Know?
SELECTIOn: TRUE OR FALsE AnsWER KEY 1._ 2._ True. False. Demographic data for afrmative action records must be collected separately from the application form and stored anonymously and separately from the application information. True. False. The sequence of the selection process will vary from one organization to the next, with most conducting the preliminary interview rst; second, administering the selection tests; and last, conducting the nal interview. True. False. This statement describes a structured, behavioral interview, not an unstructured interview. True. Shocking, isnt it! True. True.

3._ 4._

5._ 6._ 7._ 8._ 9._

10._ False. The verication of eligibility to work in the United States and signing the I-9 form must be completed within three days of starting work.

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